Stat-Alert – US Broadband Is Scorching Hot
Leichtman Research Group: The top cable broadband providers maintain a 6.4 million subscriber advantage over DSL and have a 59% share of the total market versus DSL. Deeply discounted introductory offers again drove a surge in broadband adoption in the first quarter of 2005. In the past six months, nearly five million subscribers have added broadband service in the US.
Yeah, my heart breaks for the Telco’s who sat back watching the Cable guys eat their lunch.
Follow the money people. If the Telco’s would have spent more of their stock holders equity on investing in newer technologies and upgrading networks for increased profits, instead of monies to the politcal campaigns and fines, they would not be playing catch up, and we would not have to be hearing all this crying about the US being in its state of economy because of not being number one broadband provider in the world .
Here is the bottom line. The current adminsitration is in payback mode because of the contributions from the Telco’s. Now it’s payback time for a lame duck adminsitration. Don’t think so? Watch where the telco’s money start’s going in the next elections.
What amazes me is that the “children” of telcos, Verizon WIreless and Cingular, are all set to repeat their parents DSL misteps with their own wireless data offerings. Case in point, Cingular is still charging $80/month for EDGE when VZW’s EVDO coverage is quickly catching up and is 2-3 times as fast for the same price! Also, I’m willing to bet that neither carriers data network has the infrastructure behind it to handle the massive increase in traffic that will result if Sprint’s 3G offering sparks a price war.